Vanguard Airlines Reports 41 Percent Increase in May Traffic

10 June 2002

Kansas City, Mo.—Vanguard Airlines, Inc. (OTC Bulletin Board: VGDA) reported traffic for the month of May 2002 of 132.1 million revenue passenger miles (RPMs), a 41 percent increase from 93.6 million RPMs in May 2001. Capacity was 202.1 million available seat miles (ASMs), a 51 percent increase from 133.9 million ASMs in May 2001. Load factor was 65.4 percent, down 4.5 points from 69.9 percent in May 2001.

For the first five months of 2002, load factor increased 1.1 points to 65.3 percent from 64.2 percent; RPMs increased 27 percent to 539.5 million from 425.4 million; and ASMs increased 25 percent to 826.4 million from 662.3 million, in each case as compared to the first five months of 2001.

“May saw tremendous year-over-year increases in our traffic, passengers and departures,” said Scott Dickson, CEO and President of Vanguard Airlines. “Passengers continue to respond to our increased service as evidenced by our recent achievement of both our highest single day of ticket sales ever and record passenger boardings during the Memorial Day weekend. We are particularly pleased that the bottom line load factor is holding strong while we focus our efforts on strengthening passenger yield.”

Vanguard Airlines, Kansas City’s Hometown Airline, provides convenient all-jet service to 18 cities nationwide. The airline offers low fares with no advance-purchase requirements, advanced seat assignment and extra legroom on all flights with a fleet of nine Boeing MD-80-series aircraft featuring SkyBox? Business Class service and four Boeing 737s. For more information or to make reservations online, visit Vanguard’s Web site at www.flyvanguard.com.